The Abraaj Group has submitted a mandatory offer to acquire up to 100 percent of Cairo Medical Center, a tertiary care hospital listed on the Egyptian Stock Exchange.
The Dubai-headquartered firm has already obtained binding sale undertakings from shareholders owning 50.09 percent of the company. The mandatory offer is conditional to 51 percent of the total outstanding shares being put on the block.
Cairo Medical Center, founded on 1976 by Dr. Hassan Zahed, was the first private sector hospital built in Egypt. It is located in Heliopolis, East Cairo, and operates 177 licensed beds, eight operating theatres – including one dedicated to open heart surgery – more than 20 outpatient consultation rooms and an emergency unit.
Abraaj intends to develop the company by modernising existing medical facilities, installing new equipment and investing in staff training.
“Our investment in Cairo Medical Center fits our wider strategy of supporting resilient and critical industries such as healthcare, and helping to facilitate the provision of quality and affordable healthcare with a strong focus on upgrading facilities and medical technology to improve overall patient care standards,” said Ahmed Badreldin, partner and head of MENA at Abraaj, in a statement.
Abraaj is not new to the sector, having backed Acibadem, a medical group in Turkey, between 2007 and 2013. The firm says the business grew from 6 to 14 hospitals and increased bed capacity from 750 to more than 1,850 during its ownership.
Abraaj has also invested in hospitals in South Asia, South East Asia and Sub-Saharan Africa.